Daily Archives: September 20, 2017


Fed keeps U.S. rates steady, to start portfolio drawdown in October

Reuters has the article Fed keeps U.S. rates steady, to start portfolio drawdown in October.

There is interesting information here, but one statement astounded me.

Fed Chair Janet Yellen said in a press conference after the end of the meeting that the fall in inflation this year remained a mystery, adding that the central bank was ready to change the interest rate outlook if needed.

The fall in inflation rate was explained by John Maynard Keynes in the late 1930s. I call it, “What part of no freakin’ customers do you not understand?” Keynes explained that you can push all the money you can into the economy, but if there is no consumer demand to stimulate investment, that money will sit idle. This lack of understanding of the failure of monetary policy to solve the problem of stimulating a little inflation into our economy is really frightening coming from the FED. If they can’t understand why their efforts failed, they won’t have a clue of what to do when things turn around and inflation comes roaring back.


Bernie Sanders Show: Interview with Canadian Doctor Danielle Martin

Bernie Sanders has the podcast Episode 10: Dr. Danielle Martin.

This week on The Bernie Sanders Show podcast, Dr. Danielle Martin visited from Toronto to discuss Sen. Sanders’ Medicare-for-all bill and how universal health care works in Canada.

Now Playing: Episode 10: Dr. Danielle Martin

This is well worth the 30 minutes to listen to. You get a lot of information without the yelling and screaming from a typical USA television or radio show.


Toshiba to sell chip unit to Bain Capital-led group for $18 billion

Reuters has the article Toshiba to sell chip unit to Bain Capital-led group for $18 billion.

Japan’s Toshiba Corp agreed on Wednesday to sell its prized semiconductor business to a group led by U.S. private equity firm Bain Capital LP, a key step in keeping the struggling Japanese conglomerate listed on the Tokyo exchange.

A statement later on in the article is what really raised my concern.

Also, the semiconductor business requires huge amounts of investment, and Toshiba’s chip unit risks losing its competitive ability as rivals such as Samsung Electronics roll out big capital spending plans.

It seems to me that Bain Capital has a habit of stripping the resources from companies that it buys, puts the companies into huge debt, then walsk away with the money, and leaves the remnants to the bankruptcy courts.

Since the semiconductor business requires huge amounts of investment, this approach is sure to kill off Toshiba Semiconductor. Of course, I have no crystal ball, and I am no expert. Of course, Toshiba’s weak financial position might have doomed the semiconductor division even if Toshiba had tried to hang on to it.


What Bibi Said At The UN Was True — And That’s Horrifying

The Forward has the article What Bibi Said At The UN Was True — And That’s Horrifying.

On Yom Kippur, we will hear Isaiah demand that we “unlock the fetters of wickedness, untie the cords of the yoke and let the oppressed go free.” And what happens if we don’t?

On Tuesday at the General Assembly, Netanyahu gave his answer: Nothing will happen. In fact, we will prosper because what matters in this world is power. It’s Pharaoh’s answer, horrifying to hear from the leader of a Jewish state. But nothing I can see proves it wrong.

For those who don’t know the history, The Forward is a Jewish newspaper. Don’t blame me for what my maternal grandfather’s favorite newspaper has to say.